May 25, 2001

Consumer Product Safety Commission charges that Wal-Mart Stores Inc failed to report accidents and injuries involving shoppers who were trying out exercise machinery in its stores; lawsuit seeks $4.5 million in fines from Wal-Mart and Sam's Club warehouse stores over injuries, which came from three kinds of machines made by Icon Health and Fitness Inc; Icon is also defendant and faces same penalties; Icon and Wal-Mart are sued because neither one notified government that dozens of accidents occurred on machinery, which were sold at Wal-Mart and Sam's Club stores between 1996 and 1999; retailers and manufacturers are required to report any injuries from products to commission (M)

London Stock Exchange says it will list its shares on its own exchange in July, seeking to strengthen its position as possible acquirer of other European exchanges, but risking possible takeover in process; exchange says it will remove ownership limit of 4.9 percent on its stock, opening way for unrestricted trading in its shares (M)

New York City Maryor Rudolph W Giuliani moves to strip his wife Donna Hanover of first lady duties as their highly publicized and acrimonious divorce moves through court, making it clear that he will use power of his office to marginalize her, much as he has throughout his tenure with adversaries (M)

ING, Dutch banking and insurance company, is considering more takeover targets in US, Canada, and Mexico; chief executive Ewald Kist says he wants to strengthen his US operations by buying mutual fund company or two, some life insurers and perhaps minority stake in big bank; adds he does not expect to make any bids for 18 months or so; says ING has decided to buy remaining 59 percent of Mexico's biggest insurer, Seguros Comercial America, in which ING took 41 percent stake last year; photo (M)

John Tierney The Big City column responds to Robert Redford's Op-Ed piece on Pres Bush's energy plan; attacks Redford's suggestions, which primarily focus on conservation (M)

Many influential Democrats and Republicans agree that Sen James M Jeffords's decision to become independent is striking example of perils of Pres Bush's strategy of governing from right, news analysis; some Republicans fear that Bush's stands on environment, abortion and other matters scared Jeffords out of his party; White House and Republican Party leaders on Capitol Hill must now decide whether to take Jeffords's move as lesson and moderate their positions, or continue to press case for conservatives and risk alienating more liberal Republican voters and politicians; even some conservative members like Sen Sam Brownback says party should try to broaden its appeal without sacrificing its principles; there are no assurances this will happen; Bush and Sen Trent Lott have made clear that they are not backing down from their basic beliefs; photos (M)

Los Angeles Lakers are undefeated so far in playoffs; players comment on pressure of postseason play; photo (M)

Democrats move quickly to map out legislative agenda after Sen James M Jeffords quits Republican Party and becomes independent; Jeffords, three-term senator from Vermont, says he could no longer abide increasingly conservative direction his party is taking under Pres Bush; his announcement touches off soul-searching debate among Republicans in emotional meeting about whether party has moved too far to right and should now make correction toward middle; Sen Don Nickles, assistant majority leader, describes colleagues as 'shellshocked' and says there is possibility that Sen Trent Lott's party leadership position may be challenged; Jeffords's defection tips 50-50 power balance in Senate to 50-49 Democratic edge, meaning Democrats will assume chairmanships of all committees and will control legislative calendar and legislative agenda; Jeffords confirms that he has been offered chairmanship of Committee on the Environment and Public Works; Sen Harry Reid, who helped negotiate Jeffords's switch, would have been in line for that chairmanship but he is becoming assistant majority leader to new majority leader, Sen Tom Daschle; photos (M)

Ben Ratliff Critic's Notebook on re-issues of Miles Davis recordings on what would have been his 75th birthday; photos; jazz trumpeter died in 1991; exhibit of his artwork at Tourneau Time Machine Exhibition Gallery also noted (M)

Kenneth L Lay, head of nation's largest electricity trader, Enron Corp, and close personal friend of Pres Bush's, allegedly offered to support Curtis Hebert Jr in his job as chairman of Federal Energy Regulatory Commission if Hebert changed his views on electricity deregulation; Hebert says Lay prodded him to back national push for retail competition in energy business and faster pace in opening up access to electricity transmission grid to companies like Enron; says he refused offer, even though he knew of Lay's influence in Washington and thought refusal could put his job in jeopardy; Lay recalls conversation differently; says he told Hebert that final decision on his job was Pres Bush's not Enron's; fact that conversation took place at all illustrates Enron's considerable influence in Washington, especially at agency authorized to ensure fair prices in nation's wholesale electricity and natural gas markets; Lay was one of Bush's largest campaign contributors; Vice Pres Dick Cheney has indicated Hebert may soon be replaced; Lay has reportedly weighed in on candidates for other commission posts and has access to team writing White House's energy report, which embraces several initatives and issues dear to Enron; photos (M)

Milwaukee Bucks defeat Philadelphia 76ers, 92-78, in Eastern Conference finals; series is tied 1-1; photo (M)

Federal District Judge John C Lifland throws out conspiracy convictions against five Orange, NJ, police officers in beating and pepper-spraying of Earl Faison, innocent suspect who died in police custody after 1999 killing of Police Officer Joyce Carnegie; US attorney's office is surprised by ruling and says it will decide whether to appeal (M)